Tadawul share trading falls 25% in July

04/08/2015 05:28 AST

JEDDAH — The value of shares traded for July on the Tadawul exchange reached SR84.14 billion, decreasing 25.17 percent over the previous month. The value of shares traded by Saudis was SR80.02 billion, representing 94.80 percent for buying, and SR80.19 billion for selling.

The value of shares traded by GCC was SR1.94 billion, contributing to 2.30 percent for buying, and SR1.81 billion for selling. The value of shares traded by foreigners through SWAP & Qualified Foreign Institution was SR2.44 billion for buying, and SR2.69 billion for selling.

NCB closes SR2b sukuk The National Commercial Bank (NCB) said it successfully issued subordinated Additional Tier I capital Sukuk of SR2 billion through a private placement offer in Saudi Arabia.

Sukuk issuances such as this are intended to strengthen the bank’s capital base in accordance with the Basel III framework and sustain its growth, while maintaining healthy capital adequacy levels. Additionally, the sukuk will continue to extend the maturity profile of NCB’s liabilities while diversifying its sources of funding, the bank said in a statement.

The sukuk are perpetual securities with no fixed redemption date, it added. The sukuk market in the second quarter witnessed a prominent corporate issuance from Saudi-based entities such as a 1.07 billion sukuk by Riyad Bank carrying a coupon of 1.99 percent and a 400 million sukuk by Saudi British Bank carrying a coupon 2.143 percent.

In the UAE Dubai Islamic Bank issued a 750 million sukuk carrying a coupon of 2.921 percent and Noor Bank issued its debut 500 million sukuk carrying a coupon of 2.788 percent. The Central Bank of Bahrain was an active sovereign issuer in April-June quarter with three sukuks (Al Salam issuances) – each worth 114 million carrying a coupon of 1.2 percent. It also issued three Sukuk Al Ijara each worth 69 million carrying a coupon of 1.25 percent.

Saudi Gazette